What is/are the purpose/purposes of Government's 'Sovereign Gold Bond Scheme' and 'Gold Monetization Scheme'?
- 1.To bring the idle gold lying with Indian households into the economy
- 2.To promote FDI in the gold and jewellery sector
- 3.To reduce India's dependence on gold imports
Select the correct answer using the code given below.
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Answer: C. Item 1 is correct: the schemes aim to bring idle household gold into the economy. Item 3 is correct: by offering paper gold and putting existing gold to use, they aim to reduce gold imports. Item 2 is wrong: they are not about FDI in jewellery. So 1 and 3.
Watch for: Any gold reform sounds like it would boost investment in the jewellery sector.
Why the other options are wrong
- A. Wrong because reducing gold imports is also a purpose.
- B. Wrong because promoting FDI is not a purpose.
- D. Wrong because item 2 is false.
Source to check: Ministry of Finance, PIB releases on Sovereign Gold Bond and Gold Monetization Schemes, November 2015; RBI notifications
Answer from the official UPSC key. Written and fact-checked by AI against the official key. Spotted a mistake? Report it.